Venezuela came out of the hyperinflationary cycle in which it had been since 2017, after accumulating 12 months in a row for below 50% inflation, after registering 7.6% in December, reported this Saturday the Central bank.
Venezuela entered in November 2017 in a period of hyperinflation which is considered exceeded more than three years later, after the 12 consecutive months of 2021 with price increases below 50%.
The figure reported by the Central Bank of Venezuela (BCV) makes December 2021 the fourth consecutive month with a single digit figure, after inflation rose 7.1% in September, 6.8% in October and 8.4% was recorded last November.
December 2020 was the last month in which the INPC registered an increase of more than 50%, specifically 77.5%. According to BCV figures cited by specialized media, inflation ended 2021 with a rise of 686.4%.
Until November, the year-on-year price increase was 769% and in 616.9% the accumulated.
In accordance with the Venezuelan Observatory of Finance (OVF), independent entity that brings together several economic analysts, the behavior of prices in recent months It responds to the “stability” that the exchange rate has maintained in the Caribbean country.
However, during its balance for the month of November, the observatory assured that this policy of stability resulted in the fall of international reserves.
“That policy of stability of the type of change was expressed in a fall in liquid international reserves of the Central Bank of Venezuela (BCV) of $ 171 million, as a result of the sustained intervention of the issuing institute in the market exchange offering dollars in cash“explained the NGO.
